Categories: Fedweek

Proposed New Pay Raises Not ‘Bonuses’

These senior officials emphasized that the raises are not considered bonuses. Nor would the system replace any bonuses already allowed. They could be used to retain employees who have reached the top of their grades and, because of current pay system rigidities, cannot gain additional pay except through regular annual pay and step increases. The special hikes would apply to an employee’s total pay for other purposes, such as computing retirement annuities. Bonuses can’t be used in this manner.

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